Retail banking is facing a shakeup from Silicon Valley competitors, writes financial author Kevin Roose in New York magazine.

Read: U.S. bank earnings drop

Many of the fundamentals of the industry, like paper cheques and delays in processing applications for loans, haven’t changed in years and runs on outdated technology, he writes.

A subsection of Silicon Valley startups, known as “fintech” are looking at ways to challenge established Wall Street banks. The startups want to offer better services and lower fees.

Roose notes the U.S. financial services industry is worth $1.2 trillion, and American fintech startups raised about $1.3 billion in funding last quarter alone.

Read more here.

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